+2 votes
I was wondering... if I were to get a personal loan to consolidate debt and use a down payment on a home loan, would it interfere with getting the home loan
asked Mar 21, 2018 in Downpayments by anonymous

2 Answers

+1 vote
GustanCho is correct. The payment on your personal loan will count against your back end debt-to-income ratio. In the event you get the loan from a family member within 60 days of your closing, you will need to prove it was a GIFT, and no re payment is necessary.

Michael B Gracz NMLS 1160212
Senior Loan Officer at USA MORTGAGE
A Division of DAS ACQUISITION COMPANY NMLS 227262
The Gustan Cho Team at USA MORTGAGE
www.gustancho.com/mgracz
answered Apr 21, 2018 by MikeGracz (16,780 points)
edited Apr 21, 2018 by MikeGracz
0 votes
If you get a personal loan from a bank that loan will report on all 3 credit bureaus and the minimum monthly payments due every month will be calculated in the calculations of your debt to income ratios on your new mortgage home loan. If you get a personal loan from a family member and it does not report on the credit bureaus, then nobody will know about it. However all lenders require 60 days bank statements.  The deposit of the personal loan by the family member needs to be documented unless you have those funds seasoned for 60 days.

Gustan Cho NMLS 873293
Branch Manager of USA MORTGAGE
A Division of DAS ACQUISITION COMPANY NMLS 227262
The Gustan Cho Team at USA MORTGAGE
www.gustancho.com
answered Mar 21, 2018 by GustanCho (106,540 points)

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